Track: Engineering Management

Abstract

Enterprise risk management is one of a firm's strategies to achieve the goals. Meanwhile, the risk monitoring committee is a corporate organ evaluating enterprise risk management. However, not many researchers have discussed the role of the risk monitoring committee. The previous research paid more attention to the role of the risk management committee. The purpose of this study is to identify the role of the risk monitoring committee on the relationship between enterprise risk management disclosure and firm value. The role of the risk monitoring committee was viewed based on size, independent member, female member, education level, financial expert, risk management expert, and meeting. This research was conducted on commercial banks listed on the Indonesian Stock Exchange within a period of 2016-2018. 126 samples were collected using a purposive sampling technique through observation. The results showed that five variables such as committee size, female member, financial expert, risk management expert, and meeting moderated the relationship between enterprise risk management disclosure and firm value, yet the committee of independent member and education level did not moderate the relationship between enterprise risk management disclosure and firm value.